HVAC company upselling ripoffs.

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As part of our warranty, we have to pay $100 for each tuneup, one in the Spring and one in the Fall. So good practice....maintenence...I get it.

I looked up on Amazon the markup of things they tried to sell me today that I turned down. (We were late for our Spring tuneup.)

1. Flourescent Bulb- $217 Including Installation (Amazon $109)
2. Filter- $50 (Amazon 2 for $60)
3. Water Tablet- $27 (Amazon $18 for bottle of 6 tablets)

All products were located on Amazon matched by exact product number.
I understand they are a business but word to the wise.... price these types of items out for yourself and save big money.
 
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These places need mark-ups to survive. However I agree this is a bit much.

Life is like that, try taking your own steak and potato to Outback and see what they say to your request to cook them?
 
Keep in mind the bulk prices they pay will be better than the Amazon price... so the markup is even worse than it looks..

But yeah, I get it. Just can't afford to be taken advantage of like that right now.
 
I'm sure they care to compete with Amazon.
Tune-up's themselves are just a way to get into your pocket deeper
 
Most HVAC shops don't buy anything in bulk, they order as needed and the suppliers don't offer the best prices either. For most residential trade work it's not unusual to see 30% or more markup on materials at each level of the distribution chain. Meaning the supplier is marking up 30% above his wholesale price and the installer is marking up 30% on top of his price which means your going to pay roughly 70% more than what the wholesale cost is.

Amazon sells a lot of things at wholesale prices or near them because they are working directly with suppliers or dealing with overstock and companies trying to clear out their inventory to make room for new stock. Your HVAC guy might have been taking you for a little bit of a ride but I wouldn't say you were being gouged unless you can perform the maintenance yourself and still keep your warranty intact.
 
Ironman- I get what you are saying. I believe the smaller companies are what you are referring to as mine is one of the largest in Indianapolis so they have warehouses scattered all over central Indiana and I am pretty sure they order in bulk. Big company reaping the rewards.

I do get that the smaller companies rely on up-selling though.
Some good info, thanks.
 
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Fifteen years ago the HVAC company had the tech come out and do the regular service on our furnace. The tech told me "I've got bad news" and showed me on his service test meter the blower motor was drawing double the amps than the specs on the motor. "your blower motor is about to fail and needs replacement right away..cost $$$"

Well, I have used many a VOM and indeed his indicated amps were double the specs..but I had my doubts..knowing that if the amp meter was not zeroed or calibrated correctly then you never know what you are looking at. I said no thanks and I would keep an eye on the blower and circuit breakers.

Over the last decade and a half..that blower motor is working fine.

At least some HVAC companies sell what you need at a price. Watch out for the HVAC companies that up-sell what you don't need.
 
my HVAC guy wanted to charge me $215 for an ignitor for my Carrier furnace. that was just the price of the part - not his $95 service call and installation. now that is some serious markup on a part that should be $30-50.
 
This comes up from time to time around here, and I think the general consensus is HVAC companies have the highest markup of any trade.

I don't do any "tune-ups" on my system other than replacing the air filter. I am not giving someone the opportunity to come in and try to sell me something. There's nothing in the system that requires maintenance.

OP: What type of system do you need a fluorescent light and water tablets for?
 
Dishdude-I misspoke. It takes an ultraviolet light to kill mold. (Which we don't have any growning, currently.)

The tablets are to keep the rust under control going into the drain pipe in the floor.

Sorry if I'm not too technical with my lingo.
 
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Not necessarily true. There are many items available to the public on Amazon priced lower that a service business buys from their distributors. These businesses need to markup from their cost to stay in business. Consider the total value-if you can perform the maintenance yourself, buy from Amazon. If you have a professional do the work, expect to pay more.
 
Amazon gets the parts overnight with fee or couple days latter at their price. A HVAC supply house gets the item that day typically. Also they mark up parts to retail as they need to eat and cover pick up costs or storing them on hand.

This is akin to buying a steak at grocery store and cooking your self or going to a restaurant and spending $20-$30+ on it+tax/tip etc. You accept the service of eating out which also is akin to doing HVAC work. I guess the big difference a meal out you are in control while services there is lack of control.
 
Originally Posted By: PR1955
Not necessarily true. There are many items available to the public on Amazon priced lower that a service business buys from their distributors. These businesses need to markup from their cost to stay in business. Consider the total value-if you can perform the maintenance yourself, buy from Amazon. If you have a professional do the work, expect to pay more.


You mean they get a better deal than Amazon? You lost me, sorry.
 
No. I mean that these businesses many times pay MORE for these items than an individual can buy them for on Amazon. And then they still have to mark them up to the end user. It is amazing the amount of items that an individual can buy online below dealer/distributor cost.
 
Originally Posted By: madRiver
Amazon gets the parts overnight with fee or couple days latter at their price. A HVAC supply house gets the item that day typically. Also they mark up parts to retail as they need to eat and cover pick up costs or storing them on hand.

This is akin to buying a steak at grocery store and cooking your self or going to a restaurant and spending $20-$30+ on it+tax/tip etc. You accept the service of eating out which also is akin to doing HVAC work. I guess the big difference a meal out you are in control while services there is lack of control.


Sure. I am free to let the warranty expire if I don't want them in my home. You are correct, if I can get the parts and do it myself I save good money going that route.
 
Originally Posted By: ironman_gq
Most HVAC shops don't buy anything in bulk, they order as needed and the suppliers don't offer the best prices either. For most residential trade work it's not unusual to see 30% or more markup on materials at each level of the distribution chain. Meaning the supplier is marking up 30% above his wholesale price and the installer is marking up 30% on top of his price which means your going to pay roughly 70% more than what the wholesale cost is.

Amazon sells a lot of things at wholesale prices or near them because they are working directly with suppliers or dealing with overstock and companies trying to clear out their inventory to make room for new stock. Your HVAC guy might have been taking you for a little bit of a ride but I wouldn't say you were being gouged unless you can perform the maintenance yourself and still keep your warranty intact.


I work for a local courier/trucking company. One of our customers is a warehouse that represents a major manufacturer of lighting fixtures. They also have a second business as a supplier to electricians.

They get paid to receive the product and have it sit in their warehouse.

Then they buy the product that's already sitting in their warehouse and get a cut of the sale, so they're essentially getting paid to sell the stuff to themselves.

Then they mark it up and sell it to electricians.

Then they take whatever we charge them for freight and mark that up too.

All this and the product still isn't to the end user yet. The electricians then take their cost and mark it up yet again, plus the cost of installation.
 
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